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A firm's individual demand for good x satisfies, InQx = 66 - 6.1lnPx - 4.3lnPy - 0.64lnM + 1.3lnAx. Qx is quantity of X, Px
A firm's individual demand for good x satisfies, InQx = 66 - 6.1lnPx - 4.3lnPy - 0.64lnM + 1.3lnAx. Qx is quantity of X, Px is the price of X, Py is the price of Y, a related good, A is advertising and M is income level. If the marginal cost of producing X is $40.41, what price should they set to maximize profits
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Economics Principles and Policy
Authors: William Baumol, Alan Blinder
13th edition
1305280595, 1305280598, 9781305465626 , 978-1305280595
